Global CNG Dispenser Market Size and Share Outlook - Forecast Trends and Growth Analysis Report (2024-2032)

Global CNG Dispenser Market Outlook

Cost savings associated with the usage of CNG as a fuel source as compared to diesel and gasoline are boosting the market growth. Compared to traditional energy sources like diesel and petrol, CNG boasts lower carbon emissions, mitigating climate change and reducing greenhouse gas emissions. In addition, the growing focus on energy security is propelling the CNG dispenser market growth. CNG is sourced from natural gas, which can be domestically produced and is more price-stable than oil, hence lowering the reliance of countries on imported oil while supporting their energy independence and security.

Advancements in safety standards and the development of advanced safety features, including leak detection, automatic shut-off valves, overpressure protection, and real-time monitoring of pressure levels, are providing lucrative CNG dispenser market opportunities. Key players are also adopting stringent safety standards such as ISO 9001 and ATEX compliance in CNG dispensers to improve their reliability and lower potential hazards.

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Global CNG Dispenser Market Trends

Expansion of CNG infrastructure

The CNG dispenser market expansion is being fuelled by the shift towards cleaner fuel alternatives and the increasing investments in natural gas infrastructure. In February 2024, the Indian government announced an investment of USD 67 billion in the natural gas supply chain to elevate the share of natural gas in India’s energy sector and meet growing energy demands. Moreover, due to their cost benefits and the tax breaks, incentives, and subsidies provided by governments, there is a growing adoption of CNG-powered vehicles. For instance, a carrier operating a commercial CNG vehicle on any Indiana highway can claim a credit equal to 12% of the road taxes imposed on its CNG consumption in the previous quarter. The growing focus on sustainability in the public transport sector is further aiding the market. In September 2024, Yutong delivered 36 CNG buses to Uzbekistan, featuring advanced compressed natural gas technology, to enhance sustainable transportation options for the nation.

Global CNG Dispenser Market Dynamics

Technological advancements and innovations

Technological advancements and innovations, coupled with the growing popularity of smart fuel dispensers, are shaping the CNG dispenser market trends and dynamics. Smart CNG dispensers optimise the refuelling process, lower human errors, and feature systems that automatically track and control the amount of gas dispensed. Such dispensers are typically connected to cloud-based systems that collect data and information regarding dispenser performance, gas flow, and evolving consumer preferences, supporting operators to reduce downtime. CNG dispensers are increasingly integrated with features like real-time diagnostics, multi-nozzle dispensing systems, remote access, and smart monitoring to facilitate predictive maintenance, improve fleet management, optimise refuelling process, offer enhanced customer service, and lower maintenance costs.

Market News

November 2023

HQHP introduced its advanced Three-Line and Two-Hose CNG Dispenser, aimed at enhancing accessibility to compressed natural gas (CNG) for Natural Gas Vehicles (NGV). The dispensers are tailored for CNG stations and provide efficient trade settlement and metering while eliminating the requirement for a separate Point of Sale (POS) system.

June 2022

Dover Fueling Solutions (DFS) announced the launch of its four-nozzle Wayne Helix CNG fuel dispenser across two fuel stations in France. The double-sided dispenser builds upon the company’s advanced dispenser technology and encompasses an enhanced user interface, facilitating flexible refuelling from a single CNG island at busy forecourts.

Global CNG Dispenser Market Growth

The growth of the CNG dispenser industry is being driven by increasing investments in natural gas systems and the rising adoption of cleaner fuels. Government incentives, such as tax credits on CNG consumption, are also encouraging the use of CNG-powered vehicles, with commercial carriers in Indiana able to claim a 12% credit on road taxes for CNG use. Additionally, public transport systems are embracing CNG, as seen with Yutong’s delivery of 36 CNG buses to Uzbekistan in 2024, enhancing sustainable transportation options. Technological innovations in CNG dispensers are also shaping the market. Smart dispensers with features like real-time diagnostics, multi-nozzle systems, and cloud-based monitoring are improving refuelling efficiency, reducing errors, and enabling predictive maintenance. These advancements are lowering costs, improving fleet management, and enhancing customer service, making CNG refuelling more efficient and reliable.

Global CNG Dispenser Market Restraints

As CNG dispensers require advanced metering technologies, high-pressure systems, and compliance with stringent safety standards, they tend to be more expensive than traditional diesel or gasoline dispensers. The establishment of a CNG fuelling station and the installation of CNG dispensers, storage tanks, and compression equipment also require substantial upfront investment. The rise of CNG alternatives such as liquified natural gas (LNG), coupled with the exploding popularity of electric vehicles, can further challenge the CNG dispenser market growth. In addition, volatile prices of natural gas due to geopolitical factors and local supply dynamics can impact the economic attractiveness of CNG as a fuel.

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Global CNG Dispenser Industry Segmentation

The EMR’s report titled “Global CNG Dispenser Market Report and Forecast 2024-2032” offers a detailed analysis of the market based on the following segments:

Market Breakup by Type

• Time Filling
• Fast Filling

Market Breakup by Flow Rate

• Up to 15 Kg/Min
• Up to 50 Kg/Min
• Up to 100 Kg/Min

Market Breakup by Ownership

• Company Owned and Company Run
• Company Owned and Dealer Run 
• Dealer Owned and Dealer Run

Market Breakup by Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa

Global CNG Dispenser Market Share

By Type Insights

Fast filling CNG dispensers, involving refuelling a vehicle at high pressure, are designed to rapidly fill a CNG vehicle’s tank, spanning within 3 to 5 minutes. Such dispensers use advanced control systems to dynamically adjust the pressure and prevent over-pressurisation in a vehicle. The rising demand for convenient and quick refuelling in commercial fleets such as taxis, buses, and delivery vehicles is fuelling the CNG dispenser market expansion.

Meanwhile, time filling CNG dispensers, involving a lower pressure, refuel vehicles over a longer period, spanning 6-12 hours. Such dispensers and their infrastructure boast lower maintenance and installation costs than fast filling CNG dispensers. Moreover, time filling CNG dispensers are more energy-efficient than their fast filling counterparts and are deployed in locations where vehicles can be refuelled overnight.

By Flow Rate Insights

Dispensers with a flow rate of up to 15 Kg/min are slow-filling and designed for vehicles with smaller CNG tanks or locations where refuelling time is not critical. The lower initial costs and energy efficiency of such dispensers boost the CNG dispenser market development.

Meanwhile, CNG dispensers with a flow rate of up to 50 Kg/min provide moderate refuelling speed and are essential to fuel medium to large CNG vehicles. They are more affordable than higher-flow dispensers while providing enhanced refuelling speeds for medium-demand stations.

CNG dispensers with a flow rate of up to 100 Kg/min boast high flow dispensing levels, hence rapidly delivering large amounts of CNG. Due to their efficient and quick refuelling process, they are ideal for high-traffic commercial and public stations where speed is essential.

By Ownership Insights

In the company owned and company run (COC-R) model, refuelling stations and their infrastructure (CNG dispensers, compressors, and tanks) are owned, operated, and managed by the oil and gas or fuel company. Under this model, the company has complete control over service operations, ensuring high service quality, consistency, safety, and profitability.

Meanwhile, as per the CNG dispenser market analysis, a fuel company owns CNG infrastructure whereas the dealer manages day-to-day operations in the company owned and dealer run model. This model lowers the operational burden of fuel companies and reduces their financial burden.

Conversely, in the dealer owned and dealer run (DO-D-R) model, dealers own and manage CNG refuelling stations and their associated infrastructure, including CNG dispensers. Some advantages of the DO-D-R model include local ownership, flexibility for owners, and reduced operational complexity for a fuel company.

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Global CNG Dispenser Market Regional Insights

North America CNG Dispenser Market Overview

Growing investments in the expansion of natural gas infrastructure by governments in the United States and Canada are driving the North America CNG dispenser market growth. In June 2023, NGVAmerica announced that the US government awarded more than USD 233.76 million to compressed natural gas (CNG) bus transit projects across the country. The funding is a part of the Federal Transit Administration’s Low- and No-Emission Grant Award programme for Fiscal Year 2023. Furthermore, the surging focus on increasing the accessibility of CNG due to its low greenhouse gas emissions is boosting the deployment of CNG dispensers. For instance, in October 2024, Tourmaline Oil Corp., along with Clean Energy Fuels Corp., announced the opening of two CNG fuelling stations in Alberta.

Asia Pacific CNG Dispenser Market Trends

The CNG dispenser demand forecast in the Asia Pacific is being driven by the high CNG adoption in countries like China and India amid the availability of domestic natural gas resources and growing concerns regarding air pollution. In 2022, Pakistan, Bangladesh, India, and Tajikistan topped the list of most air-polluted countries, as per the World Health Organisation. 99 cities with the world’s worst air pollution were in Asia in 2023, with 83 of the cities housed in India. Besides, the expansion of CNG-powered buses and trucks and increasing investments in CNG infrastructure by governments in the region are aiding the market expansion. In September 2024, the Indian government announced the addition of a 10,789 km natural gas pipeline network to its operational length of 24,921 km.

Competitive Landscape

Key CNG dispenser market players are developing smart CNG dispensers integrated with advanced technologies for fuel tracking, enhanced performance monitoring, and predictive maintenance. They are also focusing on the expansion of CNG station infrastructure to capitalise on the growing popularity of natural gas-powered vehicles.

Key Industry Players

Compac Industries

Compac Industries, headquartered in New Zealand, is a company that specialises in the manufacturing, design, and supply of retail fuelling stations and fuel dispensing equipment. The company aims to offer its portfolio of diverse solutions to meet the growing demand for sustainable refuelling infrastructure and clean energy solutions.

Bennett Pump Company

Bennett Pump Company, founded in 1919, has established its position as a prominent manufacturer of fuel management systems and fuel dispensing equipment for alternative fuels, biofuels, gasoline, and diesel. Headquartered in Western Michigan, United States, the company actively collaborates with corporations, municipalities, and fleet operators to expand CNG refuelling infrastructure.

Lanfeng Technology Inc.

Lanfeng Technology Inc., headquartered in China, specialises in the manufacturing and development of fuel dispensing equipment and solutions for commercial fuelling stations, fuel retail, and alternative fuel infrastructure. It is renowned for its commitment to technological advancements, innovations, sustainability, and product quality.

Other key players in the CNG dispenser market are Scheidt & Bachmann and FTI Group Inc., among others.

Recent Developments

July 2022

Dover Fueling Solutions ("DFS") announced the launch of the Wayne Helix™ compressed natural gas ("CNG") fuel dispenser, its technologically advanced dispenser for hydrogen and its first-ever four-nozzle fuel dispenser, in the EMEA region, showcasing its commitment to provide high-quality clean energy options.

December 2020

India’s first mobile Compressed Natural Gas (CNG) dispensing unit, operated by Mahanagar Gas Ltd (MNGL) in Pune, was launched. Through this, the company aims to support the transition towards natural gas.